“Britain rock bottom of world innovation league” was the leap-out headline from the business pages of The Independent this week. The story behind the headline was the news that the Thomson Reuters Top 100 Global Innovators survey was about to place the UK bottom of the innovation table ranked alongside Lichtenstein.
At a time when the economy is creaking and we’re all doing our level best to keep creating wealth and jobs, to say the headline and the story is unhelpful is something of an understatement. Is it, I wondered, another example of Britain’s ability to talk itself down and into the dreaded double dip recession?
On closer reading, though, I am happy to take issue with the findings. The survey has been put together based on patents: volume, global reach, how frequently a company has a patent granted and the so called influence of those patents.
But are patents really a useful (or indeed reliable or only) barometer of innovation in our society? I don’t think so. Using patents as the benchmark misses the fact that innovation is endemic in many UK companies, from the smallest to the largest, day in, day out. Simply registering hundreds of patents does not make a company successful; they have to be insightful and relevant patents, a few good ones will always be more innovative than a truck load of bad ones.
Few would argue that Google is one of the world’s great innovative companies; perhaps even a model for a 21st century brand. But Google is the perfect example of how innovative thinking isn’t always a success. Just think Google Buzz, Google Page Creator, Google Audio Ads and Google Wave to name but a few. The jury’s still out on Google Plus.
This brings forward the question: what is innovation?
One could argue that newer or smaller brands are innovating more because they have to make a footprint in the market and to simply replicate what is already there is unlikely to lead to success. There are plenty of SMEs innovating within their own sectors in order to compete but at a time when multi-nationals dominate western economies and are making in-roads into developing markets too, it can be difficult for smaller brands to bring their innovations to market. Some older, bigger brands meanwhile are ‘renovating’ to keep alive what they already have; this may mean replicating the innovations of smaller companies using their greater reach and bigger budgets. True innovation is always going to be more ground breaking and ‘new’ than renovation but it doesn’t actually mean that it will be more successful. The relationship between innovation and success is not necessarily a given.
One of the report’s authors, Bob Stembridge, comments in the article that the lack of UK patents (and therefore purported absence of innovation) is down to the economy. This is unlikely to be true as most Western countries are gripped by the same global downturn. One can argue that it’s a pretty level playing field in that respect.
A more pertinent question, perhaps, is whether we as a society really value innovation and recognise it well enough. In the current “heads down, just get through it” economy, few people lift their eyes above their computer monitors to see the real intelligent business thinking going on around them – whether that’s in product design or development or even, for example, in the way one can apply new thinking to something as apparently mundane as market research, yet we are.
Innovation isn’t necessarily about making things – innovation is a state of mind, a culture. In this sense, I think many of our businesses are ahead of our cultural curve.
No comments:
Post a Comment